Businessmen should only be honoured by the Queen if there is evidence they have given their time or money to charity, a report claimed today.

The government-backed study found that a number of entrepreneurs had been given titles despite putting relatively little back into the community.

Over the past five years, 12 people ranging from chairmen to chief executives were awarded knighthoods and damehoods in the Queen's Birthday or New Year's honours lists where the citation only stated service to business.

Recognising philanthropy: A Government-backed report is recommending that people should only be honoured by the Queen if they, like presenter Sir Bruce Forsyth (pictured), have given their time or money to charity

Figures from the Cabinet Office also suggest that more than a quarter of the 1,200 people on the last honour's list were not actively engaged in charitable or voluntary work.

The report, by campaign group Legacy10, said honours should only be given when their work is explicitly linked to charity and not just as a reward for their professional achievements.

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It said: 'People nominated for honours in the field of business should need to provide firm evidence of charitable giving and/or volunteering of time.'

It also recommends that the Government creates an additional honour to recognise 'individuals who have shown exceptional innovation in the field of legacy–giving', it was reported in the Daily Telegraph.

Tightening up: A row erupted earlier this year when David Cameron (left) and head of the civil service Sir Bob Kerslake (right) announced rule changes to remove the automatic right of Olympic champions to an honour

Having to go the extra yard: Under the new guidelines, honours will go to gold medallists who have shown years of dedication and have used their public profile to 'give back to society'

The study by Legacy10, which encourages people to make use of tax–free allowances in their wills to give more to charity, was commissioned by former Culture Secretary Jeremy Hunt.

A spokesman for Cabinet Office said: 'Honours are awarded on merit to those who make outstanding contributions and not for simply doing the day job.

'In the last list, just over 1,200 people received awards of which 72 per cent were actively engaged in charitable or voluntary work.'

Earlier this year, the Mandarin in charge of selecting honours, Sir Bob Kerslake, revealed that Britain's Olympic medal–winners would have to show philanthropic achievement before they would be guaranteed a gong.

A public row erupted after it emerged that David Cameron ordered the rules changed earlier this year to remove the automatic right of Olympic champions to an honour.

Under the new guidelines, honours will go to gold medallists who have shown years of dedication and have used their public profile to 'give back to society'.